Insta
Crude Prices Fall Amid Rising US Production, Saudi Commitment To Balance The Market
Oil rigs extracting petroleum (David McNew/Getty Images)
Crude oil prices fell on Wednesday (22 May) after industry data showed that there is an increase in United States’ oil inventory. Brent crude futures were down by 38 cents at $71.80, a 0.5 per cent fall from its previous day's end of the trade.
West Texas Intermediate (WTI), the North American benchmark, slipped 58 cents at $62.55, a 0.9 per cent fall from the last close, reports Financial Express.
The US crude stockpiles rose by 2.4 million barrels last week, to 480.2 million barrels, compared with analysts’ expectations for a decrease of 599,000 barrels, according to the American Petroleum Institute (API).
The slide in oil prices were reportedly also linked to Saudi Arabia's commitment to balance the market supply and prices. They can also be attributed to the low global demand owing to the trade tensions between US and China.
Due to the trade tensions the global oil demand fell to just 0.7 million barrels per day (bpd) in the fourth quarter of 2018 and the first quarter of this year, versus a five-year average of 1.5 million bpd.
Introducing ElectionsHQ + 50 Ground Reports Project
The 2024 elections might seem easy to guess, but there are some important questions that shouldn't be missed.
Do freebies still sway voters? Do people prioritise infrastructure when voting? How will Punjab vote?
The answers to these questions provide great insights into where we, as a country, are headed in the years to come.
Swarajya is starting a project with an aim to do 50 solid ground stories and a smart commentary service on WhatsApp, a one-of-a-kind. We'd love your support during this election season.
Click below to contribute.
Latest
